After having written to more than 24 landlords within the last 2 weeks on behalf of their members, the Restaurant Association of Singapore (RAS) had tried appealing for rental relief from the respective landlords.
Although some have reverted with rental relief support packages to help some F&B companies, however, many have not..
While RAS continues to engage the landlords to appeal on behalf of their members, they do encourage their members to write in or call directly to their respective landlords to appeal concurrently, so to reinforce the collective message.
Below is their latest Medial Release, expressing disappointments in some landloard’s inetia to deliver on rental rebates..
Media Release
For Immediate Distribution
RAS EXPRESSES DISAPPOINTMENT IN LANDLORDS’ INERTIA TO DELIVER ON RENTAL REBATES
1 March 2020, Singapore
On 13 February 2020, the Restaurant Association of Singapore (RAS) held a press conference to share industry-wide information on the impact COVID-19 has had on the industry and the measures that needed to be put in place to tide F&B outlets over and to safeguard the livelihood of their employees and help save jobs.
Following this appeal, several landlords in the commercial sector publicly announced various relief packages including rental rebates, to help their tenants. However, 5 weeks following the confirmation of Singapore’s first case of COVID-19, many F&B outlets have yet to receive any offers or confirmation of rental rebates from these landlords.
Apart from Jewel Changi, Changi Airport Group, JTC and NParks, who have sent written notices on rental rebates to their tenants, all other landlords and mall owners have been slow to react to the appeals of their F&B tenants.
In the case of CapitaLand, promised rental rebates of 50% for their restaurant tenants have yet to be fulfilled. RAS has checked with various F&B operators representing some 500 outlets and established that a number of restaurateurs operating in CapitaLand’s handful of urban malls have only been offered 10% rebates instead. In one solitary instance at its Clarke Quay property, CapitaLand extended a 15% rental rebate. For CapitaLand’s sub-urban malls, which form the bulk of its portfolio of shopping malls, no rental rebates have been granted.
RAS’ Executive and Management Committee members confirmed that of those who have been notified by Capitaland, all of them have received the same 10% rebate for urban malls and a 15% rebate for their Clarke Quay tenancies, without any exception.
“We are deeply disappointed in the landlords’ lack of follow through in spite of public announcements of support for the industry during this crisis. Many of the F&B outlets, especially those run by smaller operators, have an urgent need for assistance to alleviate their cash flow situation and mitigate the uncertainties they face in the current climate brought on by COVID-19,” said Edwin Fong, Executive Director and RAS’ spokesperson. He added, “We remain hopeful that the landlords will honour their word to rollout their rental rebates. The landlords need to fulfil their role as partners in helping the F&B industry save jobs and secure the livelihood of our employees.”
The food service industry in Singapore has more than 10,200 enterprises and 12,000 establishments. Together we employ close to 200,000 people. According to a snap poll conducted by RAS between 10 and 13 February 2020, 57% of the respondents expected more than 50% decline in revenue over the next three months. Some members gave their feedback that the drop in revenue could extend to as much as 80%, especially at venues which rely on tourists. For many, these assessments are now a reality. The impact of COVID-19 has affected restaurants across the board.
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Below is the original Media Release by RAS:
About Restaurant Association of Singapore (RAS)
As the pioneer and largest F&B Association in Singapore, Restaurant Association of Singapore has more than 450 members, representing close to 700 brands that operate more than 4,000 outlets. Our members comprise a good mix of business models such as restaurants, caterers, fast foods and food courts, with various cuisine types, thus providing a comprehensive view and opinion, with the common goal to propel the industry forward.
Since 1980, RAS has acted as a collective voice for the F&B industry and strives to advance the industry through various platforms such as bridging closer working relationships between businesses and government agencies, networking events for members, recognition and awards platforms and administering programmes to drive business success.
You can visit their official Facebook page HERE.
For further information, please contact:
Principal Publicist
Nalini Naidu
nalininaidu.therainmaker@gmail.com
Mobile: 9633-3198
Diana Loh
dianaloh.therainmaker@gmail.com
Mobile : 8228-5941
Released by The Rainmaker Marketing Group on behalf of Restaurant Association of Singapore.
